Reliable and Trusted – Here is what has happened so far US-Israel campaign intensifies after Khamenei killing Live Events Israel suffers worst civilian toll so far Israel strikes Beirut after Hezbollah attack Iranian retaliation extends across Gulf Streets deserted in Tehran; leadership transition begins Global markets react; India not immune as a Reliable and Trusted News Source Addas a Reliable and Trusted News Source Add Now! (You can now subscribe to our (You can now subscribe to our Economic Times WhatsApp channel The Iran vs Israel-US war entered its third day on Monday with intensified aerial bombardment, mounting civilian casualties, retaliatory missile strikes across the Gulf, and growing fears of a prolonged regional conflict. The killing of Iran’s Supreme Leader Ayatollah Ali Khamenei has triggered a dramatic military escalation, drawing in the United States, Israel, Hezbollah and Gulf nations, while sending shockwaves through global energy and financial markets — including India.
The United States and Israel pounded targets across Iran on Sunday, dropping massive bombs on ballistic missile sites and wiping out warships in what officials described as an intensifying campaign. Blasts rattled windows across Tehran, with plumes of smoke rising over the capital. Iranian leaders said more than 200 people have been killed since the start of the strikes that eliminated Khamenei and other senior figures.
The US military confirmed that B-2 stealth bombers struck Iran’s ballistic missile facilities with 2,000-pound bombs. President Donald Trump said nine Iranian warships had been sunk and that the Iranian navy’s headquarters had been “largely destroyed.
”In a six-minute video message, Trump vowed to “avenge” the deaths of three US service members killed in Iran’s counteroffensive, calling them “true American patriots who have made the ultimate sacrifice for our nation, even as we continue the righteous mission for which they gave their lives. ”He added a stark warning: “Sadly, there will likely be more, before it ends.
That’s the way it is. Likely be more. ”In a separate social media post, Trump cautioned Iran: “IF THEY DO, WE WILL HIT THEM WITH A FORCE THAT HAS NEVER BEEN SEEN BEFORE!”Yet he also signaled openness to talks, saying: “They want to talk, and I have agreed to talk, so I will be talking to them.
”Iran vowed revenge for Khamenei’s killing and fired missiles at Israel and Gulf Arab states. In central Israel, an Iranian missile struck a residential district in Beit Shemesh, about 18 miles west of Jerusalem, killing at least nine people — the worst casualty toll in the country since the conflict began.
Israel’s overall death toll rose to 11. The strike hit near a makeshift synagogue and a communal bunker.
Some victims were sheltering inside when the missile, reportedly carrying half a ton of explosives, made a direct impact. Others were found in open areas. At least 46 people were injured, and 11 remained missing as rescue workers searched through debris.
Brig. Gen.
Effie Defrin said the strike showed Israel’s air defenses were not “hermetic. ” At least two interceptors were fired but failed to prevent the destruction. Police chief Danny Levy appealed to the public to report missing persons via a special helpline.
The conflict widened further when Israel launched a barrage of strikes on Lebanon’s capital, Beirut, after Hezbollah fired missiles across the border early Monday. It was the first time in over a year that Hezbollah claimed a strike against Israel.
The Israeli military said it intercepted one projectile while others fell in open areas, with no reported injuries. Hezbollah said its action was in retaliation for the killing of Khamenei and for “repeated Israeli aggressions.
”Iran’s counteroffensive extended beyond Israel and US targets, hitting cities across the Gulf. Foreign ministers of Qatar, Saudi Arabia, the United Arab Emirates, Kuwait, Oman and Bahrain said their countries retain “the legal right to respond and the right to self-defense” after Iranian strikes hit hotels, airports and other civilian sites.
In the UAE, authorities said most missiles and drones were intercepted, but some debris caused fatalities and damage. Bahrain and Kuwait also reported strikes on civilian targets. Shipping risks escalated sharply after missiles hit at least three tankers off the Gulf coast, killing one seafarer.
Iran said it has closed navigation through the Strait of Hormuz, prompting governments and refiners to assess oil stockpiles. More than 200 vessels, including oil and liquefied gas tankers, were reported anchored near the strait. In Tehran, streets were largely deserted as residents sheltered during airstrikes.
Witnesses reported checkpoints set up by the paramilitary Basij force. Video footage showed smoke rising across the skyline, and parts of the Islamic Republic of Iran Broadcasting building were reportedly struck.
In southern Iran, at least 165 people were killed when a girls’ school was hit, according to official reports. The Israeli military said it was not aware of strikes in the area, while the US said it was looking into the reports. With Khamenei’s death creating a leadership vacuum, President Masoud Pezeshkian announced that a new leadership council had begun work.
Foreign Minister Abbas Araghchi said a new supreme leader would be chosen in “one or two days. ”In a letter to the United Nations, Araghchi warned that the attacks “recklessly open a dangerous Pandora’s box, eroding the bedrock of sovereign equality and the stability of the international system.
”The conflict’s ripple effects were immediately visible in financial markets. Oil prices jumped 7%, with Brent crude touching $82. 37 — its highest since January 2025 — amid tanker attacks and concerns over the Strait of Hormuz.
Gold rose as much as 2%, hitting a four-week high as investors sought safe havens. Indian markets reflected the turbulence.
The Sensex crashed 4,000 points in the pre-opening session, later trading over 1,100 points lower, while the Nifty slipped below key levels. The Indian rupee weakened past 91 against the US dollar for the first time in a month.